Nasdaq-listed Chinese insurtech company Zhibao Technology has completed a $154.7 million private placement financed entirely with Bitcoin, marking an unusual treasury move for a firm focused on insurance technology.

A syndicate of non-U.S. investors transferred 2,380 BTC directly to a company wallet. Zhibao said the coins were valued at a reference price of $65,000 each, based on market levels as of July 30.

Deal structured around Bitcoin contribution

In return for the cryptocurrency contribution, investors received 442 million units priced at $0.35 each. Every unit combines one Class A ordinary share with a warrant that runs for two years.

The structure means the transaction was completed through a securities placement while the funding itself arrived in digital assets rather than cash. Based on Zhibao’s stated reference price, the 2,380 Bitcoin equated to the full $154.7 million size of the placement.

Most units issued at closing

Zhibao said about 396 million of the 442 million units were delivered at closing. The balance is expected to be issued later, subject to shareholder approval.

That leaves part of the financing fully closed and part still contingent on a corporate vote, even though the Bitcoin backing for the placement has already been transferred to the company wallet.

Company presents move as strategic shift in capital base

The company described the financing as a major milestone rather than a move away from its existing business. Director Botao Ma said it ranks among the most transformational moments in Zhibao’s roughly decade-long history.

According to Ma, the placement strengthens the company’s financial foundation and supports plans to expand AI-driven insurance products. He also said the investor group brings experience in crypto markets and infrastructure that could create additional opportunities for the business.

What is confirmed next

The next confirmed step in the transaction is shareholder approval for the remaining units that were not issued at closing.

Beyond that, Zhibao has tied the financing to two goals it has already identified: reinforcing its balance sheet and broadening its AI-focused insurance offerings. The company has also signaled that the investors’ crypto expertise may play a role in future opportunities, though no further transactions or initiatives were detailed in the announcement.

Source: decrypt.co